This article was also published in the The Standard
Seaports play a key
role in in the economic growth of a nation and neighbouring land locked
countries. With the majority of global trade facilitated by sea, developing
strong, well-functioning transport infrastructure that connects with the
hinterland is a key element of growth for emerging regional markets.
Given the importance
of the Port of Mombasa for international trade for Kenya and countries in East
and Central Africa, efficiency and unified operations, cannot be taken for
granted.
Development and
management of ports is a major objective of economic development in many
countries. As ownership and operations of seaports have traditionally been in
the public sector, restructuring has often been a slow and frustrating process.
However, for Kenya,
the new Kenya Transport and Logistics Network (KTLN) is meant to enhance
efficiency and coordination by fortifying public-private sector dialogue and
leveraging on the efficiencies and synergies of relevant state agencies.
It is hoped that
through KTLN, Kenya will achieve its strategic agenda of becoming a regional
logistics hub. Additionally, the Lamu Port-South Sudan-Ethiopia-Transport
corridor (LAPPSET) is expected to give Kenya an edge over other players in the
region.
Without a doubt,
efficient transport and trade facilitation require highly specialized
managerial and operational skills as well as use of modern technologies.
In recent times, the
Port of Mombasa has reported improved efficiency it attributed to construction
of the second Container Terminal, improved cargo handling services and faster
transfer of cargo via the standard gauge railway. In 2019 alone, the port
handled 1.425 million Twenty-Foot Equivalent Units (teus) representing a 7.3%
growth over the previous year.
The Port of Mombasa is
projected to handle above 2.5 million teus by 2022 after the completion of the
second Container Terminal, which is expected to increase the holding capacity
by more than 950,000 teus.
Actually, rail freight
demand between Naivasha and the Nairobi Inland Container Depots (ICD), and the
Port of Mombasa has significantly increased, with the operator hauling 264,696
containers between January and August this year.
Despite the growth,
partnering with business operators remains critical, to ensure efficiency and
sustainability of transport and trade not only in Kenya but the larger East and
Central Africa region.
In the context of the
COVID-19 pandemic, lower trade volumes and falling freight rates, governments
have to increasingly seek partnerships with private sector players for
strategic engagement in operating and maintaining port infrastructure and
services.
However, all is not
lost, the current construction, modernization, and upgrading of our dry ports
with associated rail and road networks will definitely facilitate the trucking
of cargo between Mombasa to designated intermodal yards.
The movement of cargo
from the designated intermodal destinations is an ideal platform for private
sector players to ensure the efficiency and sustainability of transport and
trade in order to leverage private sector capital with the aim of redefining
how goods flow across the continent.
As we ponder over our
COVID-19 recovery, and assume a new normal, this is an ideal time for all
stakeholders in the transport and logistics industry to work together to bring
about the growth we have always desired as a regional business hub.
The writer is a
Communication Consultant
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